On 24 June 2022 Sailun decided to invest 15.18 billion yuan in building a new tyre factory in Dongjiakou, West Coast New District, Qingdao City, Shandong Province. The planned annual production capacity is 20 million sets of semi-steel radial tyres, 10 million sets of all-steel radial tyres and 150,000 tons of OTR tyres. At present, the Sailun board of directors has passed this investment proposal.
Halfords Group has reported strong full-year 2022 revenue growth of +19.9 per cent compared with 2020. That means total group revenues amounted to £1.369 billion in 2022, of which £368 million came from the autocentres business – an increase of 91.9 per cent compared with 2020. Group gross margin totalled £721.7 million, of which £211.0 million came from Autocentres. Much of the Autocentres-driven growth comes via the acquisitions of Iversons and the Axle Group/National Tyres last year, however life-for-like growth of 23.4 per cent shows that business continues on an organic upward trajectory as well. As a result, Halfords Autocentres gross margin is now growing six-times faster than the group’s wider retail business.
An ice cream van was parked in front of the door when Tyres & Accessories visited Direct Tyre Management’s (DTM) new Blackpool headquarters in mid-May. At the same time, staff were presented with sticks of rock, buckets and spades and were enjoying food together. The reason? The DTM team were celebrating the official opening of the company’s Blackpool HQ and executives were welcoming staff to the new location a few miles up the road from the previous offices in Skelmersdale. Beyond the team-building benefits of the celebrations, the relocation itself illustrates how DTM has developed from a niche player into a fast-growing digital fleet technology business. Tyres & Accessories met with chief technology officer Dominic Clark and sales manager Simon Makin in order to find out more.
Founded in France in 1971, Point S Group is now present in 48 countries across four continents. Point S officially launched in the UK in 2011 and therefore celebrated a decade on these shores last year. Just as Tyres & Accessories was on-hand when pre-launch discussions were taking place on the fringes of the Reifen Essen show back in 2010, while the market prepared for Tire Cologne 2022, we caught up with network manager Wayne Daniel in order to find out more.
Hella has expanded its site in Großpetersdorf, Austria. The company’s subsidiary, Hella Fahrzeugteile Austria GmbH has invested in the construction of a new 450sqm tool warehouse on three levels and a 600sqm logistics hall. The investment will also cover the renewal and expansion of machinery. The developments, in which the company is investing several million euros, are scheduled for completion by the end of 2022.
Nokian Tyres is expediting “plans to invest in new production capacity in Europe” in response to the sanctions against Russia, where the company has significant levels of tyre production. Specifically, Nokian’s board of directors will cut the dividend payable to shareholders by 106 million euros to fund the new capacity. Nokian Tyres will also increase capacity at its factories in Finland and the US with a view to becoming more geographically diversified in its manufacturing operations.
Bekaert’s newly-expanded Russian tyre cord production operation is receiving strong demand – but solely from local producers. Speaking in the company’s full-year 2021 conference call on 25 February 2022, NV Bekaert SA CEO Oswald Schmid told investors that “all the business we do is for Russian customers. There’s no export outside.” At 12 years old, Bekaert’s tyre cord-focused Lipetsk plant is one of the firm’s newer plants. It employs about 500 people.
Shandong Haohua Tire has broken ground on its previously-announced Sri Lanka tyre production base. Senior managers report that the US$300 million-dollar project’s workshop will be ready in mid-2022 and that the plant will go into production in late 2022.
After months of planning, on 17 February, Formula One Autocentres is opening a new branch in Worksop. Five jobs are set to be created at the newly built bespoke centre. The Worksop centre opening brings the number of branches in the family-owned business to a total of 128 garages across the UK.
On 31 January 2022 Kelani Tyres PLC announced plans from the Kelani Tyres/Ceat joint venture to invest up to 3.2 billion Sri Lanka rupees (£11.637 million; 13.915 million euros; US$15.801) in increasing its tyre manufacturing capacity via machinery upgrades.
Last month, this column suggested that “acquisitions, consolidation and sustainability” were three words that will sum-up developments in the tyre business in 2022. Judging by what has taken place in the weeks since that text was published, the overall argument was pretty sound. However, in retrospect it also seems pretty clear that we could have, and perhaps should have, added in a fourth term – “expansion”.
BM Catalysts, which makes catalytic converters, DPFs and front pipes reports that it has “further boosted its capacity to supply products throughout Europe in order to meet ongoing demand” The company is currently exporting to more than 35 countries worldwide.
Kerr’s Tyres Group opened its 20th tyre centre in Bangor, County Down on Monday 3 January 2022. The opening of branch number 20 is the latest in a string of announcements in recent years that have “propelled the group’s expansion”. And what’s more, according to an official statement, the organisation aims to announce further expansion plans in the coming months.
Sailun
B-Quik
Tyre Industry Publication Ltd
Point S
Hella
CNES/Airbus; Maxar Technologies
Confortauto
Haohua Tire
Formula One Autocentres
BM Catalysts
Kerr’s Tyres Group